First Direct has become the latest high street bank to withdraw its range of mortgage products from the market, citing the "huge popularity of and enthusiasm for crippling debt".
The bank has moved quickly to reassure its existing customers that its popularity - rather than the bankrupt global system of inter-bank lending - is the reason for today's move.
"The real problem is that we simply can't give out money quickly enough", First Direct's chief executive, Chris Pilling told the BBC this morning. "So we've decided to stop lending entirely until we can widen the doors in our branches. Before someone gets hurt."
As the 'real economy' impact of the credit crunch bites deeper, First Direct is the latest in a string of UK banks and building societies to be overwhelmed by a groundswell of consumer optimism.
"I believe that running to keep up with customer demand is an enviable position for any business to be in", concluded Pilling. "Now, do you know if the newsagent round the corner opens late? I need some change for the bus."
No comments:
Post a Comment